Agency
A Minnesota buyer works with a buyer's agent for 6 months without a written representation agreement. The buyer then purchases a property directly from a seller through an open house. The buyer's agent:
ACan sue the buyer for the commission they would have earned
BHas no legal claim for compensation without a written agreement specifying compensation✓ Correct
CCan file a complaint with the MLS to recover compensation
DIs entitled to a procuring cause commission regardless of written agreement
Explanation
Without a written buyer representation agreement specifying compensation, a Minnesota buyer's agent generally has no legal entitlement to a commission when the buyer purchases directly from a seller. This is why buyer representation agreements are important - they establish the agent's compensation rights.
People Also Study
Related Minnesota Questions
- In Minnesota, a buyer's agent who is paid by the seller through the cooperative compensation (cooperating broker commission) is:Agency
- Under Minnesota's statute of frauds, which real estate agreement must be in writing to be enforceable?Land Use & Zoning
- A Minnesota buyer's agent shows homes to a couple for six weeks. The couple then purchases a home directly from a seller using a different agent. The buyer's agent can recover a commission if there is a:Agency
- In Minnesota, a buyer hires an agent to find a commercial property. The agent finds nothing suitable in 6 months. The buyer wants to terminate the representation agreement. The buyer:Agency
- A Minnesota buyer's agent receives verbal permission from the buyer to sign the offer on the buyer's behalf since the buyer is traveling. Without written authorization, this verbal permission:Agency
- A Minnesota buyer and seller reach an oral agreement on all terms of a home purchase. Under the statute of frauds, this oral contract for sale of real property is:Contracts
- The statute of frauds in Minnesota requires real estate contracts to be:Contracts
- Which type of listing agreement gives one broker the exclusive right to sell but allows the owner to sell without owing a commission?Contracts
Key Terms to Know
Buyer's Agent
A real estate licensee who represents the buyer's interests in a transaction, owing fiduciary duties to the buyer.
AgencyA legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
Math Concepts
Study This Topic
Practice More Minnesota Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Minnesota Quiz →